Insights

In today’s competitive energy sector, a merger can be an excellent way for local distribution companies (LDCs) to reduce costs, expand their offerings and better serve their respective communities. But like many things in business, successful mergers don’t happen by accident. In fact, only 10 to 30 percent of mergers and acquisitions (M&As) stand up over the long-term.

In a regulated electricity sector like Ontario's, it can be challenging for Local Distribution Companies (LDCs) to achieve their strategic objectives by focusing on energy distribution alone. Not only do Ontario Energy Board requirements limit LDCs' returns, but they also constrain growth - leaving much of LDCs' resources under-utilized. Learn more about the path to non-regulated investment.